New York’s Jake’s 58 Casino Closed After Video Lottery Disruption

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Jake’s 58 Casino Hotel in Islandia, New York, was closed today after significant disruption by a statewide service interruption affecting Video Lottery Terminals.

The operator posted a notice of the statewide closure on its social media on Tuesday, and another on Wednesday morning confirming the continued disruption. However, the statement also denied rumors that the operator had suffered a cyberattack.

More than 1,000 VLT machines were affected by the outage. Jake’s 58 is currently undergoing a significant expansion project, with some $200 million on the line to double the amount of VLT’s on the gaming floor.

For now, though, all of the current machines are out of action, while the casino’s hotel and restaurants remain open.

Other New York casino venues with VLT machines were also affected, including Resorts World New York City in Queens.

“This is a statewide situation,” said Phil Boyle, CEO and President of the casino’s owner, Suffolk OTB.

“The New York State Gaming Commission runs our slot machines. They’re working on it, and as soon as they fix it, we’re ready to go. These things happen, but they’re working hard to get it fixed.”

Related: New York online casinos, rated and reviewed

Jake’s 58 Popularity

Jake’s 58 Casino Hotel has consistently been one of the most profitable gambling operations in New York state since its opening in February 2017. According to the New York Gaming Commission, Jake’s 58 has been bringing in an average of $350 million a month.

Furthermore, the casino has been a key source of income for Suffolk Off Track Betting Corporation, helping it escape bankruptcy in 2020.

The village of Islandia also benefits from the casino’s operations, with a commitment from Suffolk OTB and Jake’s previous owner, Delaware North, to provide $47 million to local community funding, spread over 20 years. It has also also contributed $31 million in state taxes in the last three months of 2023.

Expansion on the Horizon

Despite the recent service disruption, Jake’s 58 Casino Hotel has ambitious plans for the future.

The Islandia Village Board recently approved a $200 million expansion for the casino. This unanimous decision came after a public hearing where members of the community, local politicians, and representatives from Suffolk Off Track Betting Corporation discussed the project.

The expansion aims to double the casino’s video lottery gaming terminals from 1,000 to 2,000, add hundreds of parking spaces, and refurbish the hotel rooms.

As for when the current operation will be fully back online, there is no word yet.

“We expect to reopen soon and will let you all know when we do,” the Casino said on social media today.

At least Jake’s 58 customers will be happy to know their data is safe, having not been the victim of a cyberattack. Customer awareness of such matters is sky high at the moment after September saw cybercriminals target operators of famous Nevada casino venues, MGM and Caesars Entertainment.

Caesars paid a ransom to avoid disruption, but is now facing lawsuits, while MGM did not cough up and ended up losing out on $100 million in revenues during the fallout.

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